CATRION Catering Holding Co. — Interim / Quarterly Report 2015

Oct 20, 2015

Saudi Airlines Catering Co. announces the interim financial results for the period ending on 30-09-2015 (Nine Months)

6004 · 20/10/2015 07:43:49 · Announcement #39994 · View on Saudi Exchange

Saudi Airlines Catering Co. announces the interim financial results for the period ending on 30-09-2015 (Nine Months)

Element	Current quarter	Similar quarter for previous year	% Change current	Previous quarter	% Change previous
Net profit (loss)	164,497,403	154,975,940	6.14	175,820,990	-
Gross profit (loss)	203,257,448	188,025,639	8.1	198,187,803	2.56
Operational profit (loss)	159,974,295	152,148,231	5.14	162,819,075	-
All figures are in Saudi Arabia, Riyals

Element	Current period	Similar period for previous year	% Change
Net profit (loss)	507,755,196	481,107,714	5.54
Gross profit (loss)	596,179,337	591,239,177	0.84
Operational profit (loss)	484,905,679	468,647,051	3.47
Earning or loss per share, Riyals	6.19	5.87	-
All figures are in Saudi Arabia, Riyals

Element	EXPLAINATION
Reasons of increase (decrease) for quarter compared with same quarter last year	Total revenue increased by 4.8% with major contribution from growth in Airline division revenue, particularly in Business lounges revenue by 46.4% and in SkySales revenue by 18.0%. Inflight catering revenue by 1.1%. Non airline revenue increased by 8.4%. Main contributor was growth in Hajj and Umrah revenue. Gross profit increased by 8.1% mainly due to increase in total revenue and decrease in cost of materials and goods percentage. Net income increased by 6.1% mainly due to release of provision for bad debts recorded previous year same quarter.
Reasons of increase (decrease) for period compared with same period last year	Total revenue increased by 6.5%, main driver was airline division growth, especially Business lounges by 45.8% and SkySales 12.6%. Non-Airline business also recorded 25.5% growth, which was mainly contributed by Business & Industrial segment. Gross profit increased only by 0.8% due to 1) increase in personnel costs, mainly due to salary increments, new hires and a board decision to award all Saudi nationals with two months extraordinary bonus, capped at 20,000 SAR per employee and 2) due to reversal of provision for security services cost during Q1 and Q2 of 2014. Net income increased by 5.5% because of a decrease in general & administrative expenses mainly due to release of certain provisions.
Reasons of increase (decrease) for quarter compared with previous quarter	Total revenue increased by 2.4%. Airline division revenue increased by 4.1%. Non-airline division revenue decreased by (11.9%) due to termination to some non-profitable contracts. Gross profit increased in line with revenue growth and was 2.6% in the same period. Net profit decreased by (6.4%) mainly due to increase in general and administrative costs due to a release of provision for bad debts during Q2 of 2015. This release was related to successful collection of overdue receivables.
Reclassifications in quarterly financial results	certain comparatives figures have been reclassified to conform to the presentation in the current quarter

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